Tuesday, September 23, 2008
Bridget Beckman, MEDC
(517) 335-4590 firstname.lastname@example.org
Company to take over former Tecumseh Products facility
Governor Jennifer M. Granholm today announced two high-tech projects planned for Ann Arbor, an expansion by Barracuda Networks, Inc. and relocation and expansion of A2 Media Corporation. Combined, the projects are expected to create 479 new jobs and involve over $5.2 million in new capital investment. Assistance provided by the Michigan Economic Development Corporation (MEDC) helped win the projects for Michigan over competing states.
“A2 Media Corporation and Barracuda Networks are both growing high-tech companies that are helping us diversify our economy,” Granholm said. “These expansions will help solidify their presence in Ann Arbor well into the future.”
The projects announced today:
- A2 Media Corporation – A2 Media Corporation is an interactive agency developing enterprise-level software that lets marketing and communications professionals in the auto, biotech and financial services sector manage their digital activities. The company will invest approximately $2.7 million in relocation and expansion of its current Ann Arbor site to a larger facility in the city. The project is expected to create 128 new jobs, including 63 directly by the company. An economic analysis conducted by the MEDC estimates that the project will generate an additional 65 indirect jobs. Based on the MEDC’s recommendation, the Michigan Economic Growth Authority (MEGA) board today approved a state tax credit valued at $1.26 million over ten years to win the project over competing sites to India or Ireland. The city of Ann Arbor will help cover administrative costs to support the project.
- Barracuda Networks, Inc. – Barracuda Networks, a leader in email and Web security applications, plans to expand its research and development center in Ann Arbor. The project is expected to create 351 new jobs, including 185 directly by the company. An economic analysis conducted by the MEDC estimates the project will create an additional 166 indirect jobs. Based on the MEDC’s recommendation, the MEGA board today approved a state tax credit valued at $1.4 million over eight years to win the project over a competing international site. The city of Ann Arbor will help cover administrative costs to support the project.
“We worked closely with the city of Ann Arbor to make strong business case and ensure that these cutting-edge companies could continue to grow and create high-tech, 21st century jobs here,” MEDC President and CEO James C. Epolito said.
The Ann Arbor projects are two of 18 economic development projects the governor announced today. In all, they are expected to create and retain a total of 21,602 Michigan jobs.
“We couldn’t be more pleased with the support that these cool growing companies have received from the state of Michigan” said Mike Finney, President and CEO Ann Arbor SPARK. “The talent that Barracuda and A2 Media have found in our region, the quality of life that they’re seeking and the access to the resources which they need to grow their companies have truly made Ann Arbor a hot spot for technology-based companies.”
In her 2008 State of the State address, Granholm emphasized the importance of creating opportunity in the changing world of the 21st century. Since January 2005, the Governor and the MEDC have announced the creation or retention of more than 279,000 jobs as a result of targeted assistance provided by the MEDC.
The Michigan Economic Development Corporation, a partnership between the state and local communities, promotes smart economic growth by developing strategies and providing services to create and retain good jobs and a high quality of life. For more information on the MEDC’s initiatives and programs, visit the Web site at www.MichiganBusiness.org.
# # #